Note I—Debt

Short-term borrowings

The Bank has overnight borrowing capacity with the Federal Home Loan Bank of Pittsburgh of $580.6 million at December 31, 2015. Borrowings under this arrangement have a variable interest rate. The Bank also had a $136.2 million line in process with the Federal Reserve Bank as of that date which was subsequently approved. As of December 31, 2015, the Bank did not have any borrowings outstanding on these lines. The details of these categories are presented below:


	As of or for the year ended December 31,
	2015	2014	2013
	(dollars in thousands)

Short-term borrowings and federal funds purchased
Balance at year-end	$ -	$ -	$ -
Average during the year	4,575	-	-
Maximum month-end balance	-	-	-
Weighted average rate during the year	0.26%	0.00%	0.00%
Rate at December 31	0.23%	0.27%	0.25%

2.Securities sold under agreements to repurchase

Securities sold under agreements to repurchase generally mature within 30 days from the date of the transactions. The detail of securities sold under agreements to repurchase is presented below:


	As of or for the year ended December 31,
	2015	2014	2013
	(dollars in thousands)
Securities sold under repurchase agreements
Balance at year-end	$ 925	$ 19,414	$ 21,221
Average during the year	5,225	17,497	18,442
Maximum month-end balance	15,857	21,496	22,523
Weighted average rate during the year	0.29%	0.29%	0.29%
Rate at December 31	0.24%	0.29%	0.28%

3. Guaranteed Preferred Beneficiary Interest in Company’s Subordinated Debt

As of December 31, 2015, the Company held two statutory business trusts: The Bancorp Capital Trust II and The Bancorp Capital Trust III (Trusts). In each case, the Company owns all the common securities of the trust. The Trusts issued preferred capital securities to investors and invested the proceeds in the Company through the purchase of junior subordinated debentures issued by the Company. These debentures are the sole assets of the Trusts.

The $10.3 million of debentures issued to The Bancorp Capital Trust II on November 28, 2007 mature on March 15, 2038, and bear interest at an annual rate equal to 3-month LIBOR plus 3.25%.

The $3.1 million of debentures issued to The Bancorp Capital Trust III on November 28, 2007 mature on March 15, 2038, and bear interest at a floating annual rate equal to 3-month LIBOR plus 3.25%.

As of December 31, 2015, the Trusts qualify as VIEs under ASC 810, Consolidation. The Company is not considered the primary beneficiary and therefore the Trusts are not consolidated in the Company’s consolidated financial statements. The Trusts are accounted for under the equity method of accounting.